.png)
.png)
J Lewis (TC5029)
Share loss relief claim
On 1 March 2011 the taxpayer acquired shares in a company. It ceased trading in May 2011 by which time the shares were worthless. He claimed loss relief under ITA 2007 s 131. HMRC refused. The taxpayer appealed.
The First-tier Tribunal considered first whether the taxpayer had subscribed for the shares. This turned on whether a loan to the company was from the taxpayer or his son. The tribunal said the evidence on this was confusing and contradictory. It concluded that the loan was from the taxpayer because ‘the one clear piece of formal written evidence’ on the subject the minutes of the company board meeting on 1 March stated the shares had been directly issued to the taxpayer. This was supported by the company’s register of shareholders which also showed there had been no transfers of shares between the...
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.
